Alcatel-Lucent introduces the new Services Edge, with Terabit performance on industry-leading IP and Carrier Ethernet router portfolio

Paris. — To help operators around the world meet the demand for higher bandwidth and scale, a richer service mix, reduced cost and increased availability, Alcatel-Lucent (Euronext Paris and NYSE: ALU) has today announced extensive enhancements to its industry-leading IP service routing portfolio. Leveraging breakthrough silicon innovations from one of the industry’s most experienced R&D teams, the 7750 Service Router (SR) and 7450 Ethernet Service Switch (ESS) now deliver Terabit performance, providing the bandwidth, scale and service awareness required to support the growing market for more personalized, broadband offerings such as IPTV, WebTV, Virtual Private Networks, and 3G/4G mobile.

The 7750 SR and 7450 ESS enhancements leverage Alcatel-Lucent’s unique new FP2 chipset (for network processing and traffic management) – the result of a three-year development effort – which delivers sophisticated and optimized network processing and traffic management at speeds up to 100 Gb/s. The upgrades to the current products include more than double the density of Gigabit and 10 Gigabit Ethernet ports as well as supporting up to 10 times the number of services per router – reducing CAPEX and OPEX as well as being more efficient from a power/bandwidth perspective. The FP2 chipset also provides a clear path to 100 Gigabit Ethernet, vastly improving Return on Investment (ROI) versus other edge routers which currently use much lower performing and lower scale 10 Gb/s Network Processors.

“Telstra’s wireline transformation to implement a common IP core network is delivering multiple services at lower costs and faster speeds with improved network reliability. This enables us to provide our customers with access to more scaleable and advanced broadband services, offering 99.999 per cent reliability,” said Greg Winn, Telstra Chief Operations Officer. “Alcatel-Lucent’s technology is a part of our Telstra Next IP™ network and the latest upgrades will enable Telstra to continue to innovate and grow our broadband service offerings.”

The Terabit enhancements to the Alcatel-Lucent IP/MPLS service routing portfolio address three fundamental service provider requirements for IP network transformation:

* More speed – delivering Terabit routing and Carrier Ethernet capacity to support new opportunities for mass-market video-based services and applications;
* More services − including secure IPSec (IP Security) Virtual Private Networks (VPN) as well as Ethernet VPNs and IP VPNs, plus application assurance, leveraging Deep Packet Inspection (DPI) technology to help drive new service and revenue models;
* More availability – best-in-class node, link and network high availability, leveraging existing support for non-stop routing, non-stop services and In-Service Software Upgrades (ISSU)

Alcatel-Lucent has shipped more than 20,000 IP/MPLS systems since 2004, resulting in an installed base of more than 200 service provider customers in 90+ countries. The new portfolio enhancements address a Service Provider Router and Metro Ethernet Switch market with a forecasted CAPEX of more than USD 50 billion between 2006 and 2010 (source: Infonetics, August 2007).

“We’ve established a solid history of innovation and reliability in IP/MPLS platforms, software and services, which has resulted in new revenue opportunities for our customers,” said Basil Alwan, President of Alcatel-Lucent’s IP business. “This is a transformative period in our industry and, since 2003, we’ve led the way with a transformative service-aware and application-aware approach to IP/MPLS routing. With these seamless Terabit service routing upgrades, massive service scaling and integration as well as best-in-class high availability, we’re continuing to deliver on this commitment to our customers.”

The following enhancements to the Alcatel-Lucent IP/MPLS service router portfolio will be available in 3Q 2008:
Next Generation Silicon

* Breakthrough 100 Gb/s FP2 chipset

7750 Service Router Platform

* Up to 1 Tb/s capacity
* 50Gb/s (full-duplex) Input/Output Module3-XP (IOM3-XP)
* 20-port Gigabit Ethernet MDA-XP (SFP-Fiber)
* 20-Port 10/100/1000 Ethernet MDA-XP (Copper)
* 2-port 10 Gigabit Ethernet MDA-XP (XFP)
* 4-Port 10 Gigabit Ethernet MDA-XP (XFP)
* Application Assurance Integrated Services Adaptor (AA-ISA) with DPI technology
* IPSec Integrated Services Adaptor (IPSec-ISA)

7450 Ethernet Service Switch Platform

* Up to 1 Tb/s capacity
* 50Gb/s (full-duplex) IOM3-XP
* 20-port Gigabit Ethernet MDA-XP (SFP-Fiber)
* 20-Port 10/100/1000 Ethernet MDA-XP (Copper)
* 2-port 10 Gigabit Ethernet MDA-XP (XFP)
* 4-Port 10 Gigabit Ethernet MDA-XP (XFP)
* Application Assurance Integrated Services Adaptor (AA-ISA) with DPI technology

Alcatel-Lucent IP/MPLS solutions have been selected by more than 200 service providers in more than 90 countries. During the fourth quarter of 2007, Alcatel-Lucent reinforced its #2 position in IP/MPLS edge garnering 18% of the market according to Ovum-RHK.